What must an Anago Subfranchisor do before dealing with a prospective Unit Franchisee who resides outside of their designated area?

According to Anago's 2025 Franchise Disclosure Document, a Subfranchisor must promptly refer to Anago any inquiries they receive regarding the establishment of a franchise outside of their designated area. This means that if someone from outside the Subfranchisor's assigned territory expresses interest in opening an Anago unit franchise, the Subfranchisor is obligated to pass that lead directly to Anago.

This requirement ensures that Anago maintains control over franchise development and expansion into different geographic areas. It prevents potential conflicts between Subfranchisors and ensures consistent franchise growth strategies across the entire Anago system. The Subfranchisor is responsible for developing their own territory, but not territories outside of their area.

For a prospective Subfranchisor, this means they should focus their recruitment efforts within their assigned area. Attempting to recruit outside of this area is a violation of the agreement. This also means that the Subfranchisor will not receive any benefit from recruiting outside of their territory, as those leads are passed directly to Anago.